A shortcut in business is often a wrong cut

IF SHORTCUTS really worked, they wouldn’t have been called short cuts. In fact, they wouldn’t have been called such as they would have been the only way things are done. The struggle for efficiencies in business is always underpinned by the desire to produce more and better using less.

Technocrats and business executives are always exploring options to generate the maximum possible benefit using the lowest possible investment. But this often ends up being costly. Such a practice, which used to be rampant in the private sector, is slowly creeping into the public sector as well, and the results have been disastrous.

Zimbabwean roads that were constructed 20 years ago cannot possibly be compared to roads that were recently built.

As a result, there are older roads that seem to be in better shape than the new roads. Indeed, there are many factors that can compromise the integrity of the road, but the key question to ask relates to the quality of the workmanship. Despite the preparatory work that is done by local authorities before the rainy season, the country’s rainy season always has the same outcome – dilapidated roads.

But are local authorities and or developers using the correct quantities and qualities needed to make strong and durable roads? This is obviously arguable. Shortcuts can work for the short-term but are problematic in the long term.

Well, shortcuts are tantamount to cheating. Skipping important steps just leads to eventual failure and the need to do the task all over again.

It is good to do a good job once than to be rehabilitating and repairing all the time. It is actually costly in terms of the time and resources spent doing the same thing.

The case of Samsung is quite instructive.

In an effort to come up with a long-lasting battery – long enough to eclipse its main rival, Apple – the South Korean company ended up hurriedly developing (unwittingly) an incendiary battery. There were many reported fires and the company had to do the sensible thing of recalling the Samsung phones that were affected.

But this was only done after the company had taken a massive hit on its margins.

For local companies that might not have the ability to absorb these kinds of shocks, such mishaps can be fatal.

When the common focus becomes finding shortcuts instead of finding ways to be successful, the wrong habits can develop and undermine true goals.

Quick wins may indeed fix an urgent problem, but doing things the correct way can result in cost savings and sustainable results.

Many claim that the fastest way to do something is to do it right.

For farmers, applying insufficient fertilisers and chemicals will definitely guarantee a poor harvest. It is the same with business. Over the years, a much more disturbing trend where corruption has become a conduit for those willing to cut corners has developed.

There is tendency for those who seek get-rich-quick schemes to use unorthodox methods, which often backfire.

Corruption and shortcuts are probably the biggest challenge the country is facing in developing successful and sustainable business enterprises.

Lies have short legs and often run sprints, but the truth runs marathons.

The crusade to restore normal, ethical business practices has to be led by the private sector since it is the one that stands to benefit the most.

SI 64 of 2016 has naturally afforded local companies and brands the opportunity to reinvent themselves, and, therefore, there cannot be room for shortcuts.

Corruption is undoubtedly bleeding the continent in general and the country in particular.

It is also deepening the divide between developing countries and developed countries since the latter fully know that they can easily pay their way. If there is one thing that a business cannot afford to lose, it is its reputation.

Durable, quality goods are most likely to endear consumers the most to a particular brand. Losing respect and identity is fatal. So, while sales might improve through using shortcuts in the short term, ultimately consumers are likely to discover the truth in the long run.

And the likelihood of this happening sooner rather than later is high in countries such as Zimbabwe where low disposable incomes have given rise to discerning consumers.

There is a strong correlation between consumer trust and brand equity.

Consumers are most likely to value a company that is more ethical and reliable, and this positively adds to its value.

What looks cheap and good now can be expensive in the long run.

So, it is good and rewarding to do things right.

As Zimbabwe tries to assume its pride of place in regional trade, there might be need to re-invest in local brands and ethical business practices.

Ultimately, this is what shapes competition. ◆ Taurai Changwa is a member of the Institute of Chartered Accountants of Zimbabwe and an Estate Administrator. He has vast experience on tax, accounting, audit and corporate governance issues. He is the managing director of SAFIC Consultants. He writes in his personal capacity and can be contacted at tauraichangwa1@gmail.com or whatsapp on 0772374784.